Sen. Bam: Jobs of Filipinos are on the line, stop TRAIN 2

Date: April 30, 2018

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A senator warned that employment of many Filipinos will be on the line once the government pushes the enactment of the second tax reform package, which aims to remove the tax incentives being enjoyed by certain firms.

“After the increase in prices of goods and services, the government will put the jobs of many Filipinos in peril by removing incentives to some businesses,” said Sen. Bam Aquino.

Sen. Bam stressed that if the tax incentives being given to PEZA-accredited firms are removed, many companies would be forced to close shop, affecting the employment of many Filipinos.

Also, Sen. Bam said investors eyeing to put up shops in economic zones will shelve their plan once the second part of the government’s tax package is enacted.

The senator called on the government to further study the impact of the second tax package to Filipinos, saying the effects of the initial package have burdened the public with high prices of goods and services.

In a latest survey by Pulse Asia, 98 percent of 1,200 respondents claimed the prices of basic goods they usually purchase have increased since January of this year due to the Tax Reform for Acceleration and Inclusion (TRAIN) Act.

Around 86 percent of respondents said they were strongly affected by the increase in prices of goods, 13 percent were “somewhat affected,” and only one percent said they were not affected at all.

“The government should first consider reviewing the TRAIN Law before inflicting additional burden with the passage of the second package,” said Sen. Bam.

Sen. Bam has filed Senate Resolution No. 704, calling on the appropriate Senate Committees to conduct a review of the TRAIN Law, claiming it greatly contributes to the increase in prices of goods and services that burdens Filipinos, especially the poor.

Sen. Bam also filed Senate Resolution No. 597, urging the appropriate Senate committee to scrutinize the implementation of the unconditional cash transfer to ensure that it is sufficient to cover the increase in prices of goods and other services.